Illinois Yanks Bond Amid Pension Woes

Illinois took the rare step Wednesday of postponing a bond auction just hours before it was expected to launch, as concerns grew among investors over the state's deep pension hole.

While Illinois still has ready access to capital markets, state officials feared a jump in interest costs to attract buyers if they went forward with plans to sell $500 million in bonds for school and transportation projects. Bond investors have become increasingly leery of the state because of a deadlock in the Illinois Legislature over how to...